Market is driven by increased consumption of herbal beverages owing to rise in awareness of the health advantages offered by consumption of herbal tea products.

WILMINGTON, DE, UNITED STATES, November 28, 2025 /EINPresswire.com/ -- The global herbal tea industry was valued at $2,497.6 million in 2022, and is projected to reach $4,330.5 million by 2032, registering a CAGR of 5.6% from 2023 to 2032.

The herbal tea market has experienced rapid growth owing to the shift of consumers toward natural and organic tea beverages in recent times. Herbal teas, derived from dried herbs, flowers, fruits, and spices, offer a natural, plant-based beverage for health-conscious consumers. The absence of artificial flavors and preservatives caters to the preference for natural ingredients, attracting individuals seeking unprocessed beverage options. Moreover, the herbal tea market has experienced a surge in innovation owing to advances in technological and packaging aspects, driven by consumer demand for convenience, sustainability, and personalized wellness experiences.

The herbal tea market has experienced robust growth owing to a rising consumer inclination toward health and wellness, with herbal teas being recognized for their natural, antioxidant-rich profiles and caffeine-free appeal. As individuals seek healthier beverage alternatives, the herbal tea market stands out as a flavorful and holistic choice, contributing to its accelerating popularity.

Herbal teas have been a popular and widely chosen beverage for a significant duration throughout the course of human history. The earliest known reference to herbal teas dates back to 2737 BC in China, and written records from the third century AD further document their consumption. This cultural tradition has crossed geographical boundaries, with herbal teas making their journey from China to Egypt, Japan, Europe, and beyond, which highlights their enduring and widespread significance in health benefits.

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The herbal tea industry is analyzed on the basis of type, packaging, distribution channel, and region. By type, the market is divided into chamomile, peppermint, hibiscus, lemongrass, ginger, fruits, blends, and others. The chamomile segment occupied the major share of the market in 2022 and is projected to maintain its dominance during the herbal tea market forecast period. The market for chamomile tea is fueled by the significant active components found in chamomile, specifically terpenoids alpha-bisabolol, and azulenes. These components possess antioxidant, antibacterial, and anti-inflammatory traits, which contribute to the widespread demand for herbal tea infused with chamomile extracts. Chamomile tea is frequently consumed for its potential health advantages, including promoting relaxation, assisting in sleep, and aiding with digestive problems. In addition, chamomile tea is naturally caffeine-free, which makes it a popular choice for individuals seeking soothing beverage without the stimulating effects of caffeine. As a result, chamomile tea segment is to maintain dominance throughout the anticipated period, thus helping with the overall herbal tea market growth.

Based on region, Asia-Pacific held the highest market share in terms of revenue in 2022 and is likely to dominate the market during the forecast period. Herbal tea has held a significant place in traditional Chinese medicine and its therapeutic properties have been recognized and utilized for centuries in various herbal remedies. These herbal concoctions are highly regarded for their potential effectiveness in treating serious health concerns in this region. Moreover, herbal teas are grown in plenty in China, Japan, and India. Thus, it may help the key players to cater to the requirements of consumers with less cost and effort, as people in this region are accustomed to the benefits of herbal tea. These factors are driving the growth of the herbal tea market in Asia-Pacific.

Leading Market Players: -

Tata Consumer Products Limited
The Hain Celestial Group, Inc.
Dilmah Ceylon Tea Company PLC
Bigelow Tea
Tielka
Mountain Rose Herbs
Terra Teas Organic
Indigo Herbs Ltd
The Indian Chai
Organic India Pvt. Ltd.

The report analyzes government regulations, policies, and patents to provide information on the current market trends and suggests future growth opportunities globally. Furthermore, the study highlights Porter's five forces analysis to determine the factors affecting Herbal Tea market growth.

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